Author Topic: Will I get a tax deduction for contributing towards my HSA out of pocket?  (Read 1601 times)

minimalistgamer

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I recently switch to an HSA account at work. I was surprised to discover that unlike the 401K, I can contribute money towards it with my after tax dollars, and I don't have to rely on my employer making pre tax deductions to fund this account.

I have a few questions regarding this -

If I were to contribute the full amount for 2018 with my after tax money, do I get it deduct it when I file for my taxes in 2019?

Will OptumBank send me a form of some sort like the 1099-INT, which shows that I contributed a certain amount out of pocket?

Is there any advantage in letting my employer take money out of my paycheck, even if I have the means to contribute the full amount today?

Thanks for your help and advice.

minimalistgamer

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Will I get a tax deduction for contributing towards my HSA out of pocket?
« Reply #1 on: January 13, 2018, 02:20:07 PM »
MOD EDIT: Merged duplicate topics.
« Last Edit: January 16, 2018, 12:32:38 AM by arebelspy »

tawyer

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I recently switch to an HSA account at work. I was surprised to discover that unlike the 401K, I can contribute money towards it with my after tax dollars, and I don't have to rely on my employer making pre tax deductions to fund this account.

I have a few questions regarding this -

If I were to contribute the full amount for 2018 with my after tax money, do I get it deduct it when I file for my taxes in 2019?

Will OptumBank send me a form of some sort like the 1099-INT, which shows that I contributed a certain amount out of pocket?

Is there any advantage in letting my employer take money out of my paycheck, even if I have the means to contribute the full amount today?

Thanks for your help and advice.
Yes on all counts. The advantage to letting the employer take the money out is that you will pay less FICA overall.

MDM

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If I were to contribute the full amount for 2018 with my after tax money, do I get it deduct it when I file for my taxes in 2019?
Yes.

Quote
Will OptumBank send me a form of some sort like the 1099-INT, which shows that I contributed a certain amount out of pocket?
Yes, Form 5498-SA.

Quote
Is there any advantage in letting my employer take money out of my paycheck, even if I have the means to contribute the full amount today?
Yes.  You avoid FICA taxes on any employer-deducted amounts.

 

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